Preparing a corrected classified balance sheet
The following Classified Balance Sheet has numerous errors. Indicate the errors in this Balance Sheet by preparing a corrected Classified Balance Sheet with all required information.
Assets, Liailities and Net Worth
Building, at cost $18000 Accumluated Depreciation $4500
Land, appraised value $9000 Note Payable (due 2015) $5000
Inventory, retail price $10000 Wages payable $2100
Capital Stock $12000
Accounts receivable $2500 Retained Earnings $3500
Accounts payable ($3600) Total Liabilities $27100
Cash $2200 Amount needed to balance $11000
Total Assets $38100 Total Liab. and Net Worth $38100
Additional Information:
Land has an original cost of $3,000 and inventory cost the company $5,000.
